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Firm looks to automate 75 per cent of production process this year

MANUFACTURING GIANT Foxconn will slash more than 10,000 jobs this year as it looks to automate the majority of its production process.

Foxconn honorary chairman Tuan Hsing-Chien confirmed the job cuts this week, with pink-slips to be handed out at its Innolux display business.

Innolux specialises in creating displays for Foxconn, Apple's main iPhone manufacturer, as well as a number of big-name TV and monitor manufacturers.

Speaking at a press conference, Hsing-Chien said: "We will reduce our total workforce to less than 50,000 people by the end of this year, from some 60,000 staff at the end of 2017," Tuan told reporters at a press conference.

Tuan says that the job cuts come as the company looks to replace 75 per cent of its current production capabilities with automated technologies. These plans will be completed by the end of the year.

Just a few days ago, Foxconn Chairman Terry Gou announced that the company will invest $342m to implement artificial intelligence (Ai) processes in its factories.

The company is automating its production processes in a bid to accelerate the development of future innovations, including a new display called active matrix mini-LED.

Ting Chin-lung, executive vice president of the company, claims that these screens can trump their OLED counterparts. They offer better contrast and can be used in foldable devices, he said.

He said the company is in the process of speaking to multiple car manufacturers to use mini-LED screens within vehicles.

However, Chin-lung failed to mention when these screens will actually come to market and many manufacturers are continuing to plough money into existing OLED screens.

Apple's iPhone X sports an OLED screen, and it is believed that the tech giant will unveil two phones using the technology this autumn. µ